Hormel Foods (NYSE:HRL) Issues Quarterly Earnings Results, Hits Expectations

Hormel Foods (NYSE:HRL - Get Free Report) announced its quarterly earnings results on Thursday. The company reported $0.35 EPS for the quarter, hitting analysts' consensus estimates of $0.35, RTT News reports. The firm had revenue of $2.90 billion during the quarter, compared to analysts' expectations of $2.92 billion. Hormel Foods had a net margin of 6.75% and a return on equity of 10.95%. The company's revenue for the quarter was up .3% compared to the same quarter last year. During the same quarter last year, the company earned $0.38 earnings per share. Hormel Foods updated its FY 2025 guidance to 1.580-1.680 EPS.

Hormel Foods Trading Up 0.9%

Shares of NYSE HRL traded up $0.27 during midday trading on Friday, reaching $30.65. 4,464,430 shares of the stock were exchanged, compared to its average volume of 2,651,403. The business has a 50-day simple moving average of $29.97 and a two-hundred day simple moving average of $30.26. The company has a market capitalization of $16.85 billion, a price-to-earnings ratio of 20.99, a P/E/G ratio of 2.73 and a beta of 0.34. Hormel Foods has a 12 month low of $27.59 and a 12 month high of $33.80. The company has a debt-to-equity ratio of 0.36, a current ratio of 2.32 and a quick ratio of 1.19.

Hormel Foods Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, August 15th. Stockholders of record on Monday, July 14th will be given a dividend of $0.29 per share. The ex-dividend date of this dividend is Monday, July 14th. This represents a $1.16 dividend on an annualized basis and a dividend yield of 3.78%. Hormel Foods's dividend payout ratio is 84.67%.

Analysts Set New Price Targets

HRL has been the subject of a number of research reports. BNP Paribas Exane raised shares of Hormel Foods from an "underperform" rating to a "neutral" rating and set a $30.00 price target for the company in a report on Tuesday. Stephens reaffirmed an "equal weight" rating and set a $31.00 target price on shares of Hormel Foods in a report on Thursday, May 22nd. BNP Paribas raised shares of Hormel Foods from a "strong sell" rating to a "hold" rating in a report on Tuesday. Finally, Bank of America raised shares of Hormel Foods from an "underperform" rating to a "neutral" rating and lifted their target price for the stock from $29.00 to $35.00 in a report on Tuesday, April 15th. Five investment analysts have rated the stock with a hold rating, one has assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, Hormel Foods currently has an average rating of "Hold" and an average price target of $32.00.

Insider Transactions at Hormel Foods

In related news, Director Elsa A. Murano sold 4,500 shares of the business's stock in a transaction on Thursday, March 27th. The shares were sold at an average price of $30.40, for a total value of $136,800.00. Following the sale, the director now directly owns 95,488 shares of the company's stock, valued at approximately $2,902,835.20. The trade was a 4.50% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders own 0.72% of the company's stock.

Institutional Investors Weigh In On Hormel Foods

Several institutional investors have recently added to or reduced their stakes in the stock. Empowered Funds LLC lifted its position in Hormel Foods by 1.8% in the 1st quarter. Empowered Funds LLC now owns 57,500 shares of the company's stock valued at $1,779,000 after acquiring an additional 993 shares in the last quarter. Woodline Partners LP lifted its position in Hormel Foods by 40.8% in the 1st quarter. Woodline Partners LP now owns 24,583 shares of the company's stock valued at $761,000 after acquiring an additional 7,129 shares in the last quarter. Finally, Caxton Associates LLP bought a new stake in Hormel Foods in the 1st quarter valued at $310,000. 40.99% of the stock is owned by institutional investors.

About Hormel Foods

Hormel Foods Corporation develops, processes, and distributes various meat, nuts, and other food products to retail, foodservice, deli, and commercial customers in the United States and internationally. It operates through three segments: Retail, Foodservice, and International segments. The company provides various perishable products that include fresh meats, frozen items, refrigerated meal solutions, sausages, hams, guacamoles, and bacons; and shelf-stable products comprising canned luncheon meats, nut butters, snack nuts, chili, shelf-stable microwaveable meals, hash, stews, tortillas, salsas, tortilla chips, nutritional food supplements, and others.